Rules for Name of Limited Liability Partnership Firm

Rules for Name of Limited Liability Partnership Firm

LLP (Limited Liability Partnership) Name Guidelines

LLP Name approval and allotment process in India is administered by the Ministry of Corporate Affairs (MCA) as per the LLP Name Availability Guidelines issued under Limited Liability Partnership Act 2008.

‘LLP Name’ is the name by which a registered LLP is being identified. Generally, name of the LLP depicts its Trade Name or Brand Name along with its main activities.

The LLP Name SHOULD
  • Be unique
  • Contain a noun and an activity word that reflects its objectives
  • Be in line with LLP Name Guidelines issued by Ministry of Corporate Affairs.
The LLP Name SHOULD NOT
  • Be same, similar, identical or resembling to the name of an existing Company or LLP registered. Phonetically similar names also to be avoided.
  • Be similar of a registered trade mark or a trade mark for which an application has already been filed
  • Be Offensive
  • Be Undesirable in the opinion of the Central Government (Undesirability of names explained separately

LLP name approval and allotment process in India is administered by the Ministry of Corporate Affairs (MCA) as per the Limited Liability Partnership Rules 2009.

A name shall not be allotted to an LLP if;

  1. It includes any word or words which are offensive to any section of the people;
  2. the proposed name is the exact Hindi or English translation of the name of an existing limited liability partnership in English or Hindi, as the case may be;
  3. the proposed name has a close phonetic resemblance to the name of a LLP in existence, for example, J.K. LLP., Jay Kay LLP;
  4. it includes the word Co-operative, Sahakari or the equivalent of word 'co- operative' in the regional languages of the country;
  5. it connotes the participation or patronage of the Central or State Government, unless circumstances justify to, e.g., a name may be deemed undesirable in certain context if it includes any of the words such as National, Union, Central, Federal, Republic, President, Rashtrapati, etc;
  6. the proposed name contains the words 'British India';
  7. the proposed name implies association or connection with any Embassy or Consulate or of a foreign government which suggests connection with local authorities such as Municipal, Panchayat, Zila Parishad or any other body connected with the Union or State Government;
  8. the proposed name is vague like D.I.M.O. Limited liability partnership or I.V.N.R. Limited liability partnership or S.S.R.P Limited liability partnership;\
  9. it is different from the name or names of the existing limited liability partnership only to the extent of having the name of a place within brackets before the word ‘limited liability partnership’, for example, Indian Press (Delhi) LLP should not be allowed in view of the existence of the LLP named Indian Press LLP;
  10. it includes name of registered Trade mark, unless the consent of the owner of the trade mark has been produced;
  11. the proposed name is identical with or too nearly resembles the name of a firm or LLP or company incorporated outside India and reserved by such firm, LLP or company with the registrar in accordance with these rules;
  12. it is identical with or too nearly resembles the name of the limited liability partnership or a company in liquidation or it is identical with or too nearly resembles names of the LLP or a company which is struck off, up to the period of 5 years;
  13. it includes words like 'Bank', 'Insurance' and 'Banking', ‘Venture capital’ or ‘mutual fund’ or such similar names without the approval of the regulatory authority;
  14. it is intended or likely to produce a misleading impression regarding the scope or scale of its activities which would be beyond the resources at its disposal;
  15. the proposed name includes words like French, British, German etc., unless the partners satisfy that there is some form of collaboration and connection with the foreigners of that particular country or place, the name of which is incorporated in the name;
  16. the proposed name of limited liability partnership includes the words company secretary, chartered accountant, advocates or such similar words as indicative of a profession, as part of the proposed name, the same shall be allowed only after obtaining approval from the Council governing such profession or such authority as may be nominated by the Central Government, in this behalf.
Reservation of Name by Foreign LLP

A foreign LLP or a foreign company can reserve its existing name (by which it is registered in the country of incorporation) for registering an LLP in India. Such reservation can be made initially for three years and can be renewed on a fresh application.


Acceptable Name

An acceptable name for a Company or LLP has three parts, the name part, object part and constitution. The following illustrations, illustrate the three parts of a name:

Acceptable-Name-for-Company-or-LLP
three parts of a name

Name Part

The name must be unique and acceptable, as defined by the Companies Act, 2013 or LLP Act, 2008. The name cannot be the same or similar to an existing company or LLP or trademark in the same industry or field. Therefore, in case there exists a Company by the name AAA Engineering Private Limited, then the name AAA Engineering LLP would not be allowed. Also, similar names like AAA Engineers Private Limited will not be allowed as it is in the same industry and is similar to an existing company. However, AAA Cars Private Limited will be allowed as it is in a different industry/field.

Therefore, while choosing a company name, ensure there are no other names registered with the MCA in the same industry or field as that of the proposed name.

Object Part

Every Company (includes Private Limited Company, One Person Company, Limited Company) and LLP name must include an object part, that clearly states the nature of business of the entity. The object part defines the main activity undertaken by the Company or LLP. The following are some of the well-known object parts used in company or LLP names:

Technology

Textiles

Motors

Power

Steel

Hospital

Hotel

Restaurant

Holding

Construction 

Real Estate

Trading

Information

Manufacturing

Financial

Pharmaceuticals

Medicals

Travels

Aviation

Shipping

Energy

Solar Power

Electricals

Containers

Designs

Foods

Garments

Mobiles

Plastics

Interiors

Even if a similar name exists, if the object of the Company is different, a proposed name can be allowed, as it is unique as a whole. For instance, if a company exists with the name AAA Trading Private Limited, then AAA Hospital Private Limited will be acceptable, as the objective of the companies is different. However, names without any object or vague objects will not be allowed. For instance, VERVE Private Limited or Chennai Private Limited will not be allowed as it contains not object; VERVE Group Private Limited will not be allowed as the object is too vague. The object must clearly state the purpose of the Company or LLP.

Ensure that your proposed name contains a relevant object part that is not too vague. Names without object part or names with object part that is vague will not be allowed.

Constitution Part

The constitution part defines the type of entity the name represents.

Private Limited Companies are represented by Private Limited Company or Private Limited or Pvt. Ltd Company.

One Person Companies are represented by OPC or One Person Company.

Limited Companies are represented by LTD Company or Limited or Limited Company.

Limited Liability Partnerships are represented by LLP or Limited Liability Partnership.

Ensure that the proposed name contains a constitution that is relevant to the type of entity incorporated.

Minimum Authorized Capital for Certain Words

The use of certain words in the name of a company requires the proposed company to have a minimum amount of authorized capital. The table details the word and the amount of minimum authorized capital required.

Word

Authorized capital required

Corporation

Rs. 5 Crore

International, Globe, Universal, Continental, Inter-Continental, Asiatic, Asia being the first word of the name

Rs. 1 Crore

Industries / Udyog

Rs. 1 Crore

If International, Globe, Universal, Continental, Inter-Continental, Asiatic, Asia is used within the name (with or without brackets)

Rs. 50 Lakhs

Hindustan, India, Bharat being the first word of the name

Rs. 50 Lakhs

Enterprises, Products, Business, Manufacturing

Rs. 10 Lakhs

If Hindustan, India, Bharat is used within the name (with or without brackets)

Rs. 5 Lakhs

Checking Name Availability Online

The proposed name must be unique when compared to an existing Company Name or a Limited Liability Partnership Name or Trademark. The following are steps for checking the list of company and LLP names in existence:

1. Go to the following website or search for “MCA Name Availability” online:

http://www.mca.gov.in/DCAPortalWeb/dca/MyMCALogin.do?method=setDefaultProperty&mode=16

2. In the Company or LLP Name, enter the proposed company or LLP Name and click search.

3. The list will show the list of Company and LLPs in existence with a similar name.

4. If the search returns “No records found”, then there are no similar companies or LLPs with a similar name.

The following are steps for checking the Trademarks in existence:

1. Go to the following website or search for “Trademark Search India” online:

http://ipindiaonline.gov.in/tmrpublicsearch/frmmain.aspx

2. In the wordmark, enter the proposed name.

3. Enter the relevant class by entering the class details in the class textbox. Class details can be accessed by clicking on “Class Details”. Click on search.

4. The list will show the list of trademarks, similar to the proposed name.

5. If the search returns “No records found”, then there are no similar trademarks similar to the proposed name.


For any further queries related to this or anything else visit TAXAJ

TAXAJ Corporate Services LLP
Address: 1/11, 1st Floor, Sulahkul Vihar, Old Palam Road, Dwarka, Delhi-110078
Contact: 8961228919 ; 8802812345 | E-Mail: connect@taxaj.com
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